Showrooms have been around for years and have been used to promote many different kinds of products and/or services. Indeed, showrooms are common for automobiles, bathroom and kitchen design services and associated products, etc. “Specialty stores” have begun to appear in the last few years to showroom mobile phones and/or other devices, products specific to a particular manufacturer, etc. Perhaps more basically, however, virtually every brick-and-mortar store is in essence a showroom, as a potential broad array of products are presented for potential consumers. Indeed, although e-tailers, web-based storefronts, online portals, and the like have become very popular, many people still like the experience of going to a physical brick-and-mortar store. The experience of browsing a showroom is important for some, because they can actually touch the product before deciding whether to purchase it, view products side-by-side (e.g., televisions, electronic, etc.), and/or interact with a “real live person” (e.g., a sales clerk, etc.) to ask questions, get feedback or receive recommendations, etc.
The advent of the Internet and other information technologies has led to more information being available in a faster and sometimes more efficient manner. For example, a potential consumer can “shop online” and determine which store has the best price on a particular product, potentially balancing factors like base price, sales and/or use tax to be paid (if any), shipping and handling charges (if any), etc. In fact, currently available online and/or mobile device tools such as RedLaser, PriceGrabber, PriceSpider, and the like, help provide product pricing information for a variety of different stores. Even some product review websites (such as, for example, CNet) provide similar price comparison tools for the products that they are reviewing.
As a result, the practice of “show-rooming” has become a major hurdle for brick-and-mortar stores. A person may be aware of a product he/she would like to purchase or may simply be browsing through a brick-and-mortar store's goods with no particular purchase motive in mind. The person may treat the brick-and-mortar store as a showroom to, among other things, try out a product, seek advice, etc. But instead of buying a seemingly suitable product right away, the person may already know that the product is available elsewhere for a better price, or may later search for the best price available. The above-mentioned and/or other tools make competitive pricing more transparent to would-be consumers. Thus, many brick-and-mortar stores essentially lose out on potential sales. Indeed, an Apr. 10, 2012 article in Forbes entitled “Why Best Buy CEO Brian Dunn Had To Quit,” argues that “Competitive advantages you [brick-and-mortar stores] once had are gone. Price is transparent. Service and repair are not the refuges they once were.” In some cases, service contracts and the like offered by brick-and-mortar stores are insufficient to justify the sometimes higher prices.
A 2011 InsightExpress study found that 59% of U.S. smart phone owners have comparison-shopped while actually in the store. According to a more recent Feb. 22, 2012 survey from market research firm ClickIQ, consumer panel members revealed that 67% have shopped online as well as in brick-and-mortar stores during the past six months. The group members were asked whether they had researched a product while actually at the local retail store and then made the purchase online, and 46% indicated that they had done so. Eighty-seven percent of the panel members said that price was the main reason for having made the purchase online.
Given this evidence, it is apparent that show-rooming is presenting a number of challenges to traditional brick-and-mortar retailers. There also is a concomitant race to develop technology-based solutions that either help consumers find better deals elsewhere, or alert consumers after the fact (e.g., after they have made their purchase), that a price reduction has taken place by the retailer they have made their recent purchase from, or that a competitor has reduced its price on the item they have purchased. This has given rise to the above-described and other applications. However, a Fox News article by John R. Quain published on Apr. 18, 2012, entitled “Should you ‘showroom’—shop in stores, buy online—your next gadget?” notes that shopping is possible everywhere and argues that “retailers need to recognize this fact and use the technology to reach customers in novel ways. Specific store apps with rewards and notices of upcoming sales can help. But more innovative approaches will be needed.”
Thus, it will be appreciated that there is a need in the art for technology-based solutions to show-rooming practices. For instance, it will be appreciated that it would be desirable to provide retailers, manufacturers, and others, the ability to counter the “price transparency” revolution and continue to compete on price/value offers, e.g., via individually tailored “distinct special offers.”
In certain exemplary embodiments, a system for providing custom offers to consumers is provided. An electronic device includes at least one processor that executes an application comprising instructions that cause the application to at least: receive an identifier of a product of interest; determine a first price of the product of interest, with the first price being a price ordinarily charged by a first seller; initiate, in connection with the identifier, a price lookup query to determine pricing information from a plurality of other sellers different from the first seller, for the same and/or similar product(s) as the product of interest; and display a custom offer when the first price is higher than a price charged by one or more of the other sellers, with the custom offer being redeemable in connection with the first seller only.
In certain exemplary embodiments, there is provided an electronic device including at least one processor that executes an application for providing custom offers to a consumer. The application comprises instructions that cause the application to at least: receive an identifier of a product of interest; determine a first price of the product of interest, the first price being a price ordinarily charged by a first seller; initiate, in connection with the identifier, a price lookup query to determine pricing information from a plurality of other sellers, different from the first seller, for the same and/or similar product(s) as the product of interest; and display a custom offer when the first price is higher than a price charged by one or more of the other sellers, with the custom offer being redeemable in connection with the first seller only.
In certain exemplary embodiments, a method of providing custom offers to a consumer is provided. An identifier of a product of interest is received from an electronic device including at least one processor that executes an application. A first price of the product of interest is determined, with the first price being a price ordinarily charged by a first seller. A price lookup query is initiated, in connection with the identifier and the electronic device, to determine pricing information from a plurality of other sellers different from the first seller, for the same and/or similar product as the product of interest. A custom offer is caused to be displayed via the electronic device when the first price is higher than a price charged by one or more of the other sellers, with the custom offer being redeemable in connection with the first seller only.
Programmed logic circuitry may include, for example, any suitable combination of hardware, software, firmware, and/or the like. A computer-readable storage medium may include, for example, a disk, CD-ROM, hard drive, and/or the like, and thus may be transitory or non-transitory in nature. Instructions may be stored on a non-transitory computer readable storage medium that, when executed (e.g., by a processor of one or more computers or computer systems), perform the methods described herein.
There are a number of advantages that are made possible in connection with the exemplary techniques disclosed herein. For example, the “meet or beat” price ability of certain exemplary embodiments may provide an omni-channel customer tie-in, e.g., by presenting the user with some small credit (potentially, say, $5 or $10) to be used as a gift certificate for an online purchase, or other indicia of value. Thus, it is possible to bridge the gap between online and in-store experiences, thereby providing a helpful resolution to show-rooming problems while also taking advantage of the fact that, as shown by recent studies, the most valuable customers are those customers who shop both online and in stores.
Another advantage relates to the fact that customized special offers are better than “price guarantees” (which typically last some short period such as, for example, one week or 30 days). The approaches of certain exemplary embodiments are more convenient for customers who might otherwise forget or find it difficult to make it back to a store with the required documentation (e.g., receipt, competitor advertisement, etc.). They also may be more helpful to stores by encouraging more immediate purchases or even subsequent purchases through an associated online portal.
Still another advantage relates to the fact that in-store display prices, online prices, advertised prices, and/or the like, are not being altered. Instead, the distinct special offer is made for a particular user. Thus, there is not necessarily an obligation to make the same offer available to others, or even the same person after an initial offer is made once and/or expired after some predefined period.
The exemplary embodiments, aspect, and advantages described herein may be used in any suitable combination or sub-combination such that it is possible to obtain yet further embodiments of the instant invention.